Solar Panel Rules in Sacramento, CA (2026)

Can I build an ADU in Sacramento?

Yes. California state law requires Sacramento to permit ADUs by-right on all residential lots. You can build a detached ADU up to 1,200 sqft, a garage conversion ADU, or a Junior ADU (JADU) up to 500 sqft within your existing home. No owner-occupancy requirement applies. Sacramento has lower ADU permit fees than Bay Area cities — typically $2,000–$7,500 total. Permits process within 60 days.

What are Sacramento's short-term rental (Airbnb) rules?

Sacramento requires a Short-Term Rental Permit ($200/year) for all rentals under 30 days. Your property must be your primary residence. The city's Transient Occupancy Tax (TOT) at 12% applies to all short-term rental revenue. Airbnb collects and remits TOT for qualifying hosts. Operating without a permit carries fines. Register with Sacramento Finance Department.

Does Sacramento use SMUD or PG&E for electricity?

Sacramento is served by SMUD (Sacramento Municipal Utility District), a publicly-owned electric utility — not PG&E. This matters for solar: SMUD's net metering program is generally more favorable than PG&E's NEM 3.0 program. SMUD also offers periodic solar incentive programs and rebates. Solar permit coordination goes through Sacramento CDD, but interconnection is with SMUD.

What zoning covers single-family homes in Sacramento?

Sacramento's primary single-family zones are R-1, R-1A, and R-1B. R-1 requires standard setbacks (20 ft front, 5 ft sides, 15 ft rear). R-1A allows smaller lots with reduced setbacks (15 ft front, 3 ft sides). R-1B is the most urban infill-friendly single-family zone (10 ft front, 3 ft sides). All three allow one ADU plus one JADU per state law.

Is Sacramento a flood risk area?

Parts of Sacramento have significant flood risk due to its location at the confluence of the American and Sacramento Rivers. The Natomas Basin (north of downtown) historically had 100-year flood risk and has been upgraded to 200-year protection. Portions of Sacramento near both rivers remain in FEMA Special Flood Hazard Areas. Check FEMA's Flood Map Service Center (msc.fema.gov) for your specific parcel's flood zone designation before purchasing or building.

Do I need a permit to run a home business in Sacramento?

Yes. A Home Occupation Permit ($125) is required in Sacramento for any business operated from a residence. Restrictions apply: no clients on-site, no non-resident employees, no exterior signs. Business use must be incidental to residential use. Sacramento City Code Section 17.228.200 governs home occupations.

Are solar panels required on new homes in Sacramento?

Yes. California's Title 24 Energy Code requires solar PV on all new low-rise residential construction. Sacramento's extreme summer heat (regularly above 100°F) makes solar especially cost-effective. SMUD's favorable net metering program enhances solar economics. Sacramento has 265+ sunny days per year. New construction solar systems must meet Title 24 minimum sizing requirements.